Kenya accelerates startups funding efforts nationwide

Kenya has stepped up its efforts to support startups nationwide, with both government initiatives and private sector investments driving growth across fintech, clean energy, mobility, and e-commerce. In June alone, Kenyan startups attracted more than $92 million in funding, underscoring the country’s position as one of Africa’s leading innovation hubs. The surge reflects rising investor confidence in Kenya’s entrepreneurial ecosystem and its ability to produce scalable ventures with regional impact.
The funding momentum was highlighted by major deals such as BURN Manufacturing, which secured $80 million from the Trade and Development Bank Group (TDB) to expand clean cooking solutions across Mozambique, the Democratic Republic of Congo, and Zambia. Another notable success was Peach Cars, which raised $11 million in Series A funding to grow its online vehicle marketplace. These investments demonstrate how Kenyan startups are attracting both local and international capital to tackle pressing challenges while creating new market opportunities.
Policy support has also played a critical role. The Kenya Startup Bill (2025) provides a legal framework to streamline registration, offer tax incentives, and create a more enabling environment for entrepreneurs. Coupled with the Digital Economy Blueprint 2025, the government is building a robust ecosystem where startups can thrive. Tech hubs in Nairobi, Mombasa, and Kisumu are complementing these efforts by offering mentorship, incubation, and access to investors, ensuring that startups across the country benefit from the funding wave.
Looking ahead, experts believe Kenya’s accelerated funding efforts will strengthen its role as East Africa’s innovation capital. With rising investor confidence, startups in fintech, healthtech, agritech, and mobility are expected to scale rapidly, creating jobs and driving inclusive economic growth. Analysts note that Kenya’s digital economy is now one of the fastest-growing in Africa, positioning the country as a model for innovation-led development.